Any nonconforming structure located in the shoreland zone which is removed, damaged, or destroyed, regardless of the cause, by more than 50% of the market value of the structure before such damage, destruction, or removal, may be reconstructed or replaced, provided that a permit is obtained within 12 months of the date of said damage, destruction, or removal, and provided that such reconstruction or replacement is in compliance with the water body, tributary stream or wetland setback requirement to the greatest practical extent as determined by the Planning Board in accordance with the purposes of this chapter. In no case shall a structure be reconstructed or replaced so as to increase its nonconformity.